Bipartisan Group Of Lawmakers Unveil AI "Sandbox" Legislation

A bipartisan and bicameral group of a Senators and House Representatives have unveiled legislationthat would, “provide for regulatory sandboxes that permit certain persons to experiment with artificial intelligence without expectation of enforcement actions.”

• The bill, titled the Unleashing AI Innovation in Financial Services Act, proposes that some financial firms can undergo experimentation with AI products that don’t fit within the current regulatory framework.
• Punchbowl News reports: “That application would let firms request that compliance with specific regulations be “waived or modified.” Companies could also propose an “alternative method” for complying with existing regulations… Companies would need to demonstrate their project wouldn’t present a “systemic risk” to the U.S. financial system and comply with anti-money laundering laws.”
• The legislation comes as US lawmakers struggle to alight on an effective blueprint for regulating AI. Senate Majority Leader Chuck Schumer (D-NY) has proposed a wide-ranging 'roadmap' for AI regulation, but it is unclear if much progress can be made on the expansive constituent elements of the roadmap during this Congress.